Saturday, April 23, 2016

Australia will sell lands to China

Australia is going to sell a part of its land to a Chinese investor.

The largest farming estate in Australia is subjected to the deal. Its price will be 371m USD. Scott Morrison, the Australian treasurer, is opposing the deal because of the security risk. His decision will be made after the election in July.

Indeed, some rich Chinese are fond of buying forests in Japan. It has been a trend recently. Initially, I wondered why Chinese are willing to buy foreign lands. One of the purposes is an investment. Also, China is suffering from serious air pollution, as well as several risks to lose the land value. Diversification of risks is a basis of management.

Shortly, the definition of nations will be amended, according to some researchers. Nowadays, the development of the internet has enabled us to gain extensive information. Big deals can be done with single clicking. Taxation to big companies became difficult despite it is a privilege for a nation, as Panama paper issue suggests.

Nonetheless, the land is a solid and stable estate for a nation. If the population is fluidized, land can hardly be swapped. I had thought it until recently. However, it is doubtful now.

Europe is worrying about the immigration crisis and risk of terror. Donald Trump and some other politicians in the US have an exclusive policy. In Japan, many people hesitate to accept immigrant. The world seems not to welcome the new era without nations. Nevertheless, there is a particular tide toward the borderless world, I guess.